Kaupþing banki hf. - Company Announcement

The Icelandic Competition Authority approves the merger of Kaupthing and SPRON

The Icelandic Competition Authority has today approved the merger of
Kaupthing Bank hf. and the Reykjavik Savings Bank hf. (SPRON),
without conditions. The merger is however still subject to the
approval of the Icelandic Financial Supervisory Authority, cf. press
release from July 1.

For further information please contact:
Jónas Sigurgeirsson, Chief Communications Officer, tel. + 354 444
6112 or ir@kaupthing.com